I'm a person who tries to be very PC tbh and dead serious I've never heard of midget being considered a derogatory term. I certainly hear and see fans use it all the time to describe athletes who are small relative to their peers in competition and nobody seems to bat an eye. Never heard anyone say "the m word" or hear people gasp or look at someone in shock if they said it. Seeing how Barstool (despite how controversial they tend to get) do "Midget Fights" at Rough and Rowdy and nobody has tried to cancel them for that yet (when people try to cancel them for many other things), I think it's not something most are offended by. Finally, if you watch Spencer Lee's interview with Will Compton, he even jokes that wrestlers have "Little Mans Syndrome"
I can do without the use of the term like I said but seeing how it's used quite often, I think Iowa fans are reaching here. Now listen, if someone actually has dwarfism and you call them that, yes it's very uncalled for. But considering Tom Brands is 5'5'', I'm going to say it wasn't meant as a derogatory term lol.